Damn Small is small enough and smart enough to do the following things:
Boot from a business card CD as a live linux distribution (LiveCD)
Boot from a USB pen drive
Boot from within a host operating system (that's right, it can run *inside* Windows)
Run very nicely from an IDE Compact Flash drive via a method we call "frugal install"
Transform into a Debian OS with a traditional hard drive install
Run light enough to power a 486DX with 16MB of Ram
Run fully in RAM with as little as 128MB (you will be amazed at how fast your computer can be!)
Modularly grow -- DSL is highly extendable without the need to customize

Cumlative Change Log for v4.1:

* New notepad (editor.lua)
* Updated pciutils to 2.2.9
* Added pop-ups to jwm tray
* Added *.siag to supported dfm extensions (.dfmext)
* Restored fluxter.bb to LHC 4-in-a-row.
* Fixed bug in exitcheck (/opt/.filetool.lst)
* Fixed reported bug in cpanel when booted legacy
* Fixed reported bug mountci (permissions and menus)
* Fixed reported bug in netcardconf (/opt/.filetool.lst)

* Completed support for alternate window managers.
* Removed background/wallpaper control from dfm and .xinitrc
* Created /opt/.backgrounds, use xsri in window file include
* Updated wallpaper.lua to use new structure
* Updated "Getting Started" with Esc and Backspace key definitions for dfm

* New boot option user=name
* New boot option settime settime=its_server_name (must have boot time net access) use with tz=XX/Yyyyy for accurate local time.
* New mini-icons in jwm mydsl menu when available.
* New iconView.lua - View Edit xpm icons.
* Updated torsmo to v0.18 - now supports noswap
* Updated .dfminfo now a plain text file.
* Updated processing order of extensions with .tar.gz now last to better support myconf.tar.gz
* Root menu solely under user control - defaults to selected window manager menu.
* Added 'toram' to frugal installed grub checkfs menu item.
* Updated several murgaLua programs to reflect the dropped fl_ask GUI widget.
* Dropped SWM - Small Window Manager.
* Fixed System.map link error.
* Better support for alternate window managers. - see /opt/.mydsl_menu/ and ~/.{wm}.inc
* Streamlined MyDSL download procedure - dropped use of sudo and download location prompt.
* Dropped unsued emelfm wrapper.

Many, many programs, files, and their locations have changed to support the new user=name option and the new window manager support.
Most noteably .filetool.lst and .xfiletool.lst are now under /opt.